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| Acciona warns against converting Endesa into a subsidiary of E.ON  Acciona has acquired on the market 101,983,965 shares of Endesa, representing 9.63% of its share capital and placing its total shareholding in Endesa at 19.63%. With this new purchase operation, Acciona continues its plan to increase its participation in Endesa, without exceeding the limit of 24.9%. As Endesa's major shareholder, Acciona wishes to state that it considers converting Endesa into a subsidiary of the German group E.On as absolutely negative and that it is fully in agreement with the position declared by Endesa, which considers that the price of €35 per share offered by the German operator is below the real and, above all, potential value of the company.Acciona considers that Endesa is an excellent company and, therefore, that the price offered by the German group does not adequately reflect its extraordinary perspectives for the future. Acciona's disagreement with the German group is also based on a lack of confidence as regards its business management practices and its corporate social responsibility, taking into account the alleged actions published in the national and international press and the investigations, procedures and legal proceedings currently underway with Spanish, German, Community and U.S. authorities. E.On is currently facing a lawsuit in Spain, before a court in Barcelona, for the possible use of privileged information in its attempt to purchase Endesa, a matter for which it is also allegedly being formally investigated by the German stock exchange authority (BFin). In the United States, according to information published, the SEC suspects financial irregularities and are inspecting E.On's account's for the years 2000, 2001, 2002 and 2003. The European Commission has announced that it has taken disciplinary action against E.On for breaking the seals placed by Community inspectors in its facilities during an investigation on abusive practices by the group that limit competition in the European energy sector. The seals were placed to guarantee there would be no destruction or manipulation of evidence. These doubts on the transparency of E.On's corporate management are joined those referring to the control of its operations, as a result of the blackout that affected over 10 million EU citizens, for which the company will probably have to assume liability. write your comments about the article :: © 2006 Construction News :: home page |